Retail, Done?

[grapedrink]

Things were already pretty rough for retail. Having to compete with Amazon and other giants is hard enough, let alone sky high commercial rent and lax shoplifting laws/enforcement. Walgreens is threatening to leave SF because the shoplifting is so out of control, with deadbeats filling up garbage bags with just under $950 worth of goods and selling them outside.

Then we had the forced closures with Covid, followed by looting and vandalism, where police forcers were either instructed not to intervene or were too stretched thin to do so. Seems like forcing retailers to close, then all of a sudden not enforcing lockdowns during the protests and letting their shops get ransacked, is the ultimate slap in the face and maybe final nail in the coffin for many of them.

Will be interesting to see who's still in business after this is all over.

 

[laidback]

Loosing control, quickly

I like to try on my Levi's before I buy, the sizing is so messed up

 

[Duffy LaCoronilla]

Almost seems like it’s being done on purpose.

 

[PRCD]

Things were already pretty rough for retail. Having to compete with Amazon and other giants is hard enough, let alone sky high commercial rent and lax shoplifting laws/enforcement. Walgreens is threatening to leave SF because the shoplifting is so out of control, with deadbeats filling up garbage bags with just under $950 worth of goods and selling them outside.

Then we had the forced closures with Covid, followed by looting and vandalism, where police forcers were either instructed not to intervene or were too stretched thin to do so. Seems like forcing retailers to close, then all of a sudden not enforcing lockdowns during the protests and letting their shops get ransacked, is the ultimate slap in the face and maybe final nail in the coffin for many of them.

Will be interesting to see who's still in business after this is all over.

Don't forget the resulting collapse in commercial real estate where a lot of big corporations and smaller ones park a lot of money.

 

[QuadFin]

Outlook grim for retail. So many major retailers already so close to bankrupt and now this will push even more. And amazon so big and powerful, only walmart and target compete.

 

[plasticbertrand]

Loosing control, quickly

I like to try on my Levi's before I buy, the sizing is so messed up

The hardship is real.

 

[$kully]

Trumps America

 

[Billy Ocean]

Don't forget the resulting collapse in commercial real estate where a lot of big corporations and smaller ones park a lot of money.

The biggest U.S. mall owner, Simon Property, sues Gap over skipped rent payments

Simon Property Group said Gap has failed to pay more than $65.9 million in rent and other charges during the coronavirus pandemic.

www.google.com

 

[Billy Ocean]

this pandemic is just accelerating trends that were already in place

there’s really no need to physically go to any shop unless you actually enjoy the shopping experience, which many don’t

so physical retailers are really offering an entertainment experience not just a place to buy goods

how much is this entertainment experience really worth if only a fraction of the public is interested in it?

 

[PRCD]

this pandemic is just accelerating trends that were already in place

there’s really no need to physically go to any shop unless you actually enjoy the shopping experience, which many don’t

so physical retailers are really offering an entertainment experience not just a place to buy goods

how much is this entertainment experience really worth if only a fraction of the public is interested in it?

Women love going to the store and spend more of the money. When they're not allowed to go to the store, there's no point in retail.

I guarantee Gap stiffed their supplies during this too. Dick's Sporting Goods stiffed my father-in-law the money they owed him. This was a very foolish thing for them to do because Dick's sells to men who are more than happy to buy online. The businesses that have kept their online prices the same as those for the goods they sell in stores are now reconsidering, which is very bad for these brick-and-mortar stores.

 

[Autoprax]

Before the crash and burn we are now in, the shopping centers in Oside off the 78 were still packed.

That is why I stopped using retail.

The crowds made it too unpleasant.

I have to have a glass of wine to go get food supplies.

I didn't drink all week, and I have to say it didn't make life better.

 

[hammies]

Retail done the old fashioned way is pretty much history, Covid or not.

Retailers who are flexible and can reinvent themselves will survive and prosper, though.

 

[PRCD]

Retail done the old fashioned way is pretty much history, Covid or not.

Retailers who are flexible and can reinvent themselves will survive and prosper, though.

What percentage will survive? Again, we're looking at a large number of failures and the fallout in commercial real estate which is where a lot of people park money.

 

[Autoprax]

I think retail could survive if the rents weren't so high/.

 

[PRCD]

I think retail could survive if the rents weren't so high/.

Right. But the owners of the real estate owe money to various banks. They're leveraged and can afford the leverage based on certain occupancy rates and rent.

 

[Ifallalot]

Right. But the owners of the real estate owe money to various banks. They're leveraged and can afford the leverage based on certain occupancy rates and rent.

It's a debt spiral

 

[Autoprax]

Right. But the owners of the real estate owe money to various banks. They're leveraged and can afford the leverage based on certain occupancy rates and rent.

Yeah. Humans seem to overextend themselves in a way that make them vulnerable to a black swan event at all socio economic levels.

I was always worried about the unknown catastrophic event. Like the one now.

I suspect it was due to physical trauma (major life treating health issues and the surgery to save my life) as a child.

It made me hyper vigilant.

 

[r32]

The Dow is pumping right now. Back up to 27 already. Incredible given the current social and economic climate.

 

[hal9000]

I'm sure all the restaurants and stores that went out of business will be thrilled about this news.

 

[PRCD]

Yeah. Humans seem to overextend themselves in a way that make them vulnerable to a black swan event at all socio economic levels.

I was always worried about the unknown catastrophic event. Like the one now.

I suspect it was due to physical trauma (major life treating health issues and the surgery to save my life) as a child.

It made me hyper vigilant.

I watched the older men in engineering get laid-off, watched it happen to my dad, and was laid-off in 2009. I, consequently, avoid leverage at all costs.